[For Information Purpose Only.
The Japanese language press release should be referred to as the original.]
October 10, 2019
To All Concerned Parties
Name of REIT Issuer:
Invincible Investment Corporation
Naoki Fukuda, Executive Director(Securities code:8963)
Asset Manager:
Consonant Investment Management Co., Ltd.
Naoki Fukuda, CEOContact: Jun Komo
General Manager of Planning Department(Tel. +81-3-5411-2731)

Notice concerning Debt Financing (Refinance) andExecution of Interest Rate Swap Agreement
Invincible Investment Corporation (“INV”) has determined today to obtain new debt financing torefinance existing debt and has executed an interest rate swap agreement (the “Interest Rate SwapAgreement”) today with regards to the new borrowing.
1. Reason for Borrowing
INV has decided to execute a new loan agreement (the "New Borrowing") today in order to repay
borrowings in the amount of JPY 3,700 million due on October 13, 2019, which is one of the tranchesof the New Syndicate Loan (H) (Note) with a total outstanding amount of JPY 19,925 million.
(Note)For details of the New Syndicate Loan (H), please refer to “4. Details of Loan to be Repaid” below and thepress releases entitled “Notice concerning Debt Financing” dated September 21, 2017, “Notice concerning
Prepayment of Loan” dated May 31, 2018 and “Notice concerning Issuance of Investment CorporationBonds” dated October 4, 2018. Since the maturity date (October 13, 2019) is a non-business day, as per
the provisions of the contract, the repayment date will be adjusted to the following business day (October15, 2019).

2. Details of the New Borrowing (anticipated)< New Syndicate Loan (O) >6-Year Tranche(1) Lender: The Nishi-Nippon City Bank, Ltd.
(2) Borrowing amount: JPY 1,000 million(3) Interest rate, etc.
: 1-month JPY TIBOR (Base Rate) + spread (0.70000%)
Variable interest rate (Note)
This English language notice is a translation of the Japanese-language notice released on October 10, 2019 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any
discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.

1(4) Borrowing method:

Borrowing based on separate term loan agreement dated
October 10, 2019
Unsecured / with no guarantee(5) Agreement date:

October 10, 2019(6) Anticipated borrowing date:

October 15, 2019(7) Interest payment date:(1) The last Japanese business day of each month before theprincipal maturity date, beginning with October 31, 2019, and(2) the principal maturity date

(8) Principal repayment method:

Lump-sum repayment on the principal maturity date

(9) Principal maturity date:

October 15, 2025

(1) Lender(2) Borrowing amount(3) Interest rate, etc.

:::

(4) Borrowing method:

The Daisan Bank, Ltd.
JPY 1,000 million
1-month JPY TIBOR (Base Rate) + spread (0.55000%)
Variable interest rate (Note)
Borrowing based on separate term loan agreement dated
October 10, 2019
Unsecured / with no guarantee(5) Agreement date:

October 10, 2019(6) Anticipated borrowing date:

October 15, 2019(7) Interest payment date:(1) The last Japanese business day of each month before theprincipal maturity date, beginning with October 31, 2019, and(2) the principal maturity date

(8) Principal repayment method:

Lump-sum repayment on the principal maturity date

(9) Principal maturity date:

April 15, 2025

(1) Lender(2) Borrowing amount(3) Interest rate, etc.

:::(4) Borrowing method:

The Daisan Bank, Ltd.
JPY 1,700 million
1-month JPY TIBOR (Base Rate) + spread (0.45000%)
Variable interest rate (Note)
Borrowing based on separate term loan agreement dated
October 10, 2019
Unsecured / with no guarantee(5) Agreement date:

October 10, 2019(6) Anticipated borrowing date:

October 15, 2019(7) Interest payment date:(1) The last Japanese business day of each month before theprincipal maturity date, beginning with October 31, 2019, and(2) the principal maturity date

(8) Principal repayment method:Lump-sum repayment on the principal maturity date

5.5-Year Tranche

4.5-Year TrancheThis English language notice is a translation of the Japanese-language notice released on October 10, 2019 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any
discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.

2(9) Principal maturity date(Note):

April 15, 2024

・Base rate applicable to each interest calculation period for the interests to be paid on the relevantinterest payment date shall be the 1-month JPY TIBOR announced by Japanese Bankers
Association two Japanese business days prior to the immediately preceding interest payment
date (in case of the initial interest calculation period, two Japanese business days prior to theborrowing date).
・JPY TIBOR announced by the Japanese Bankers Association is available at its website(http://www.jbatibor.or.jp/english/).
・Details of our debt financing is available at the “Borrowings & Investment Corporation Bonds”
page of INV’s website (https://www.invincible-inv.co.jp/en/finance/loan.html).

3. Loan proceeds, use of proceeds and scheduled timing of disbursement(1) Loan proceeds
JPY 3,700 million(2) Use of proceeds
To be appropriated for the repayment of New Syndicate Loan (H)(3) Scheduled timing of disbursement
October 15, 2019
4. Details of Loan to be Repaid
New Syndicate Loan (H)BalancebeforeRepayment(JPYmillion)

Repayment
Amount(JPYmillion)

Balanceafter
Repayment(JPY million)

InterestRate(annual)(Note)

October 13,
2017

3,700

3,700－

0.32727%

October 13,
2019

October 13,
2017

1,868

－

1,868

0.37727%

October 13,
2020

October 13,
2017

1,867－

1,867

0.47727%

October 13,
Unsecured/2021
non-guaranteed

October 13,
2017

5,365－

5,365

0.67727%

October 13,2022

October 13,
2017

3,565－3,565

0.77727%

October 13,
2023

Borrowing
Lender
DateMaturity

Borrowing

DateMethod

Mizuho Bank, Ltd.
Sumitomo Mitsui
Banking Corporation
Sumitomo Mitsui Trust
Bank, Limited
Citibank, N.A.,Tokyo
BranchShinsei Bank, Limited
Resona Bank, Limited
Development Bank ofJapan, Inc.
AEON Bank, Ltd.
The Bank of Fukuoka,
Ltd.
The Dai-ichi Life
Insurance Company,Limited

This English language notice is a translation of the Japanese-language notice released on October 10, 2019 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any
discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.

3The Nomura Trust andBanking Co., Ltd.
The Hiroshima Bank,

October 13,
2017

3,560－

3,560

19,9253,700

16,2250.87727%

October 11,2024

Ltd.

(Note) The interest rates applicable as of October 10, 2019 are shown

5. Details of the Interest Rate Swap Agreement(1) Reason for Executing the Interest Rate Swap Agreement
In order to hedge the risk of interest rate fluctuations(2) Details of the Interest Rate Swap Agreement
Notional

Interest Rate

Principal(upper：fixed rate payable)

Agreement

Counterparty

Nomura Securities
Co., Ltd.

Interest
Applicable Period(JPY(lower: floating ratemillion)

receivable)

1,700(Note 1)0.48590%
One-month JPY TIBOR +0.45000%

DateOctober10,
2019

Payment Date

FromOctober 15, 2019
toApril 15, 2024

The last Japanesebusiness day of eachmonth and the last dayof the applicable period(Note 1) Equivalent to the principal amount of borrowing by the New Syndicate Loan (O) (4.5-year tranche) to be implemented
on October 15, 2019. By this Interest Rate Swap Agreement, the interest rate of the 4.5-year tranche will be fixed, ineffect, at 0.48590%.
(Note 2) The initial interest calculation period is from October 15, 2019 (inclusive of the date) to October 31, 2019 (exclusive ofthe date and up to one day prior), and the interest calculation period thereafter will be from the immediately preceding
interest payment date (inclusive of the date) to the relevant interest payment date (exclusive of the date and up to one
day prior).

6. Future outlook
The impact of the New Borrowing and the Interest Rate Swap Agreement on financial results is
minimal and therefore no changes are required for the forecasts of financial results for the fiscal
period ending December 2019 (from July 1, 2019 to December 31, 2019).
7. Other matters necessary for investors’ appropriate understanding/judgment of the concerned
information
With respect to the risks associated with the New Borrowing and the Interest Rate Swap
Agreement, please refer to the content of “Investment Risks” stated in the securities report for
the fiscal period ended June 2019 (from January 1, 2019 to June 30, 2019) (available inJapanese only) filed on September 24, 2019.

Website of INV: https://www.invincible-inv.co.jp/eng/

This English language notice is a translation of the Japanese-language notice released on October 10, 2019 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any
discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.

4[For reference only]■Change in balance of interest-bearing liabilities (anticipated)(Unit：JPY million)
Before the New Borrowing

After the New Borrowing

Increase(As of October 10, 2019)(As of October 15, 2019)(Decrease)

Total loans
Total investment
corporation bonds
Total interest-bearing liabilities
Total appraisal value of assets
owned by INV (Note 1)
LTV (based on appraisal value)(Note 2) (%)

252,174

252,174－4,000

4,000－

256,174

256,174－

574,500

574,500

－

44.1

44.1－

(Note 1) As to “Total appraisal value of assets owned by INV”, among the 148 properties owned by INV as of today (including preferredequity interest in the TMK which holds Sheraton Grande Tokyo Bay Hotel), the appraisal value for the 129 properties held asof June 30, 2019 is based on the appraisal value stated in the appraisal reports on the valuation date of June 30, 2019 andthe 18 properties acquired in July 19, 2019 is based on the appraisal value stated in the appraisal reports on the valuation
date of April 1, 2019. For the preferred equity interest in the TMK which holds Sheraton Grande Tokyo Bay Hotel as anunderlying asset, the acquisition price (INV’s investment amount) of such preferred equity interest, JPY 17,845 million, isdeemed as the appraisal value and included. The appraisal value of overseas real estate assets (which are “The Westin
Grand Cayman Seven Mile Beach Resort & Spa” and “Sunshine Suites Resort”) is translated into JPY based on the exchange
rate of 1 USD=110.45 JPY which is the foreign exchange forward rate under the foreign exchange forward agreement which
we entered into on July 26, 2018 and became effective as of September 26, 2018.
(Note 2) “LTV (based on appraisal value)” in the above table is calculated according to the following formula:
LTV (based on appraisal value) ＝ Total interest-bearing liabilities (excluding short-term consumption tax loan) ÷ Total
appraisal value of assets owned by INV × 100“Total interest-bearing liabilities” does not include the interest-bearing liabilities of the TMK which holds Sheraton GrandeTokyo Bay Hotel as an underlying asset.
(Note 3) The amounts are rounded down to the nearest million yen. The percentages are rounded to the nearest one decimal place.

■Lender formation after the New Borrowing (anticipated)

This English language notice is a translation of the Japanese-language notice released on October 10, 2019 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any
discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.

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